Does Anti-Bribery Enforcement Deter Foreign Investment?
9 Pages Posted: 11 Jun 2014 Last revised: 17 May 2018
Date Written: May 11, 2015
We hand-collect data on individual FCPA enforcement actions initiated by the U.S. Department of Justice and use them in a panel difference-in-difference estimator to provide the first systematic empirical evidence that anti-bribery enforcement is followed by a reduction in U.S. fixed capital investments in countries targeted by enforcement actions.
Keywords: Foreign Corrupt Practices Act, Multinational Firms, Cross-Border Mergers, Foreign Direct Investment, Anti-Bribery Legislation
JEL Classification: F2, K2, G3
Suggested Citation: Suggested Citation